Godrej Properties (GODREJPROP) Q4 09/10 earnings summary

Executive summary

• FY10 marked a strong recovery, with consolidated income and net profit up 53.2% and 64.5% YoY, respectively.

• Delivery reached 3.9 million sq. ft. in FY10, exceeding the 3.6 million sq. ft. delivered cumulatively from inception through FY09; the development portfolio covered 82 million sq. ft. in ten cities.

Financial highlights

• Consolidated total income was Rs. 4,560.7 million, up 53.2% YoY; EBITDA was Rs. 2,312.1 million, up 42.0%; net profit after minority interest was Rs. 1,228.1 million, up 64.5%.

• Q4 FY10 total income rose 140.0% YoY to Rs. 2,435.5 million; EBITDA increased 119.3% to Rs. 889.6 million; net profit climbed 217.9% to Rs. 575.0 million.

• FY10 consolidated PBT was Rs. 1,623.7 million; PAT before minority interest was Rs. 1,239.7 million, with Rs. 11.6 million attributable to minority interest.

Outlook and guidance

• Management expected strong momentum in launches, deliveries and new business development as the Indian economy and property sector recovered.

• FY11 business development focus: strengthen Mumbai and Bengaluru, enter NCR through residential joint ventures, and selectively launch township projects.

• Planned mid-income launches in Chennai, Mangalore, Kochi and Mumbai; further phases were planned for Ahmedabad and Kolkata.